According to ChainCatcher, cryptocurrency investors' sentiment has significantly recovered from global tariff concerns, but analysts suggest that market structural weaknesses may still cause downward pressure during periods of low weekend liquidity. After the US President Trump adopted a more moderate attitude and indicated that import tariffs on Chinese goods might be "substantially reduced", cryptocurrency investors' risk appetite seemed to have improved this week.
However, Bitfinex analysts stated that this sentiment improvement "does not mean Bitcoin will avoid volatility during the weekend. While improved sentiment can reduce market vulnerability, it cannot eliminate structural risks such as weak weekend liquidity. Historically, weekends are still prone to dramatic fluctuations, especially when there are high outstanding contracts and low market depth. Sudden macroeconomic news can still intensify volatility during low-liquidity periods."
